Instructions For Schedule Ttp - Tax Treaty Positions

Combined Reporting Instructions

2012 Schedule TTP

Tax Treaty Positions

A corporation that takes a treaty-based return position in filing its Massachusetts return must

disclose that position when filing its return. A taxpayer takes a treaty based return position by

maintaining that a treaty of the U.S. overrules or modifies a provision of the Internal Revenue

Code and thereby causes (or potentially causes) a reduction of the income required to be

shown on the return. Note that the exclusions from a similar requirement to disclose treaty-

based positions for U.S. federal tax purposes do not apply to the requirement that

corporations of a combined group disclose the position with their Massachusetts return.

Header for Schedule TTP

Enter the name of the corporation, its Federal Identification number and the beginning and

ending dates of the taxable year. If the corporation is a non-U.S. corporation that does not

have a Federal Identification number, enter “Foreign” in the space provided for the FIN.

Indicate the type of Massachusetts tax return with which this schedule is being submitted.

Also enter, in line 3 of the header, the corporation’s U.S. address (which may be the address

of the principal reporting of a combined group if the corporation does not have an office or

other agent in the U.S.).

Enter, in line 4 of the header, the corporation’s address in the country of residence including

street address, city with province or state and postal code, and country name. Indicate

whether or not the corporation filed U.S. Form 1120F and whether or not the taxpayer filed

U.S. Form 8833 with the IRS for the taxable year.

Treaty Information

A single corporation relying on multiple U.S. national treaties files a single schedule TTP to

identify the various treaties and the positions taken on the same schedule. If filing a paper

return (e.g. a financial institution that is not required to file a combined report and submits

Form 63FI), attach a statement providing information about any additional treaties.

For each treaty relied on, enter the name of the treaty country and indicate whether the treaty

relied on is an income tax treaty or any other kind (e.g. commerce, etc.). Also identify the

specific article(s) relied upon by the taxpayer (there may be more than one article providing

benefits applicable to the corporation under a given treaty). For each treaty relied on, identify

the IRS Code provision(s) overruled or modified by the treaty in question.

If the treaty relied upon has a limitation-on-benefits article, identify the provision(s) that the

corporation relies on to prevent application of the article (e.g. how is the corporation a

qualified person if such is required to claim a benefit under the treaty). Explain the treaty-

based return position taken. Include a brief summary of the facts on which it is based and a

description of the income to be excluded from the Massachusetts combined return. It is not

necessary to quantify the items of income affected by each treaty separately.

Instructions For Schedule Ttp - Tax Treaty Positions - 2012